BMI View: Comprising 60% of nominal GDP in 2011 and having seen average annual growth of 6.1% over the last decade for which data are available (2002-2011), private consumption has been an important

driver of growth over recent years. A steady fall in the rate of inflation over the course of 2013 will boost purchasing power combined with increasing (albeit slowly and unevenly) income levels, leading us to believe that private consumption will continue to grow strongly in the years ahead. We are forecasting private consumption growth of 6.5% in 2014. We believe that GDP per capita will increase from an estimated US$681 in 2013 to US$910 in 2018, suggesting greater household wealth and increased disposable income with which consumers can purchase goods.

However, in Africa, getting products to the final consumer remains one of the greatest challenges a company will have to overcome, owing to the lack of infrastructure. That said, if the price is right, there are huge opportunities at the mass market level, where consumers are willing to embrace new brands.